Canada’s Digital Nomad Visa: Everything You Need to Know

Canada’s Digital Nomad Visa: Everything You Need to Know

The rise of remote work has transformed the way we live and work, allowing professionals to break free from traditional office environments and explore the world while staying productive. Recognizing this shift, Canada has introduced the Digital Nomad Visa, enabling remote workers to live and work in the country for up to six months.

With its high quality of life, diverse culture, and breathtaking landscapes, Canada has long been a top destination for skilled immigrants and global travellers. From the towering Rockies to the bustling streets of Toronto, it offers the perfect backdrop for remote professionals looking to combine career growth with adventure.

In this guide, we’ll delve into everything you need to know about the Digital Nomad Visa, from eligibility requirements and the application process to tips for living and thriving in Canada as a digital nomad.

Table of Contents

1. What is the Digital Nomad Visa?
2. Who is Eligible for Canada’s Digital Nomad Visa?
3. What Types of Jobs Are Suitable for Digital Nomads?
4. How can I apply for a CDNV?
5. Legal and Tax Implications of Canada’s Digital Nomad Visa
6. Living in Canada as a Digital Nomad
7. Conclusion
8. Frequently Asked Questions

What is Canada’s Digital Nomad Visa?

In June 2023, Canada launched the Digital Nomad Visa, a groundbreaking initiative that allows remote workers to live and work in the country for up to six months—without the need for a traditional work permit. Designed for professionals who can perform their jobs entirely online, this program is perfect for those looking to combine career growth with a Canadian adventure.

Digital nomads can continue earning through their existing roles while exploring Canada’s stunning landscapes and vibrant cities. During their stay, they also have the opportunity to network and even explore local employment options. If they receive a job offer from a Canadian employer, they can apply for a work permit and potentially extend their stay.

This program is part of Canada’s Tech Talent Strategy, which aims to attract highly skilled professionals to address local talent shortages. By facilitating interactions between Canadian employers and remote workers, the government hopes to foster innovation and strengthen the nation’s economy.

If this sounds like the adventure you’ve been waiting for, read on to learn more about the eligibility requirements, application process, and everything else you need to consider to make the most of your time in Canada.

Who is Eligible for Canada’s Digital Nomad Visa?

The Digital Nomad Visa requirements are relatively straightforward. Here’s the breakdown of all eligibility criteria.

1. Employment: You need to be in active employment with a foreign employer or providing services to clients outside of Canada.
2. Remote work: You must be able to perform your job remotely from anywhere in the world.
3. Finances: You must be able to prove you have sufficient funds to support yourself during your stay.
4. Insurance: You must show that you have valid health insurance that covers your stay in Canada.
5. Background: You’ll need to accept a background check to prove you have no criminal record.

Aside from that, you’ll require a valid passport that allows you to travel to Canada for your stay.

What Types of Jobs Are Suitable for Digital Nomads?

The only requirement for a career as a digital nomad is that you need to be capable of performing your job in Canada remotely. Naturally, this lends itself better to some careers than others. Common digital nomad career paths include:

• Tech-related jobs: Software developers, web designers, IT support specialists and data analysts are especially well-suited to the visa scheme. These roles are also in demand in Canada, offering an exciting opportunity to find employment during your stay.
  
• Digital marketing and content creation: Copywriters, video editors, social media managers, and SEO specialists are all well suited to the remote entrepreneur lifestyle.
  
• Education and tutoring: Online tutors and language teachers typically provide support to students via video calls. Canada offers an exciting opportunity for these specialists to live and work in the country while continuing their day job.
  
• Freelancers: Naturally, all freelancers and consultants are also a great fit for the visa, especially if they have specialist skill sets. Note that you must work for clients outside of Canada to be eligible.

If you’re able to complete your job remotely, Canada’s Digital Nomad Visa (CDNV) could be the opportunity you’ve been waiting for. Considering taking the next step? Let’s explore how you can apply.

How can I apply for a CDNV?

Applying for Canada’s Digital Nomad Visa requires a bit of careful planning. Follow the steps below to get started.

Step 1: Prepare your Documentation

Start by gathering all of the necessary documents, such as:

• Proof of employment: An offer letter from your employer, along with recent payslips, that serve as proof of your income.
• Statements: Bank statements from the last 6 months proving you have the financial stability to live in Canada.
• Insurance: Proof of health insurance that covers the duration of your stay in Canada.
• Accommodation: Proof that you’ve secured accommodation, either through rental agreements or communication with friends or family.
• Your resume: An up-to-date resume detailing your work experience and skills.

Know that the visa program may request additional documentation during the application process. You should also double check that your passport is up-to-date to avoid any delays during the application process.

Step 2: Fill out your Application

The next step differs depending on your location. Visitors from the US have the simplest application process. All you require is a valid passport and a green card proving your citizenship.

If you intend to visit Canada from a country outside of the US and live in a visa-exempt country, you’ll need to apply for electronic Travel Authorization (eTA). This costs CAD $7 and can be completed in minutes.

If you aren’t in a visa-exempt country, you’ll require a Canada Visitor Visa or a Temporary Resident Visa (TRV). This process is slightly more involved, but provided you’ve gathered the correct documentation, it’s still typically a straightforward application process. Your application must be submitted online or at a visa applicant centre. Ensure biometrics are completed if required.

Whichever path you need to take, complete the corresponding application process and submit the documents required.

Step 3: Pay the Fees and Wait for Processing

Pay the application fee. This visa fee will vary depending on the pathway you choose. From there, you can submit your application and wait for acceptance.

Processing times vary. It can be an instant process, but it usually takes 1-2 months. You can check the status of your application form online after submitting via Immigration, Refugees, and Citizenship Canada.

Step 4: Prepare for Life in Canada

Once the Canadian Government accepts your application, you’re free to travel to Canada for up to 6 months. You can now begin to prepare for your experience and put everything in place for your arrival.

Legal and Tax Implications of Canada’s Digital Nomad Visa

1. Visa Duration and Extensions

The Canada Digital Nomad Visa (CDNV) allows you to stay in Canada for a validity period of six months while working for a foreign employer. However, if you’d like to extend your stay, there are options available:

Applying for a Work Permit: During your stay, you are free to explore job opportunities with Canadian employers. If you secure a job offer, you can apply for a work permit, which allows you to legally work for a Canadian employer and extend your stay.

Visitor Record: If you are not ready to leave Canada and have not secured employment, you can apply for a visitor record to temporarily extend your stay. It’s recommended to apply for this at least 30 days before your current visa expires to avoid any legal complications.

Both options provide pathways to stay longer in Canada and continue enjoying the country’s offerings.

2. Tax Implications for Nomadic Entrepreneurs

Understanding your tax obligations is crucial when working remotely in Canada. Here’s how the tax implications break down for digital nomads:

The First Six Months: During your initial six-month stay, you are considered a non-tax resident of Canada. This means you will not be required to pay Canadian income taxes on earnings from your foreign employer. Your home country’s tax code applies to your income during this time.

After Six Months: If you remain in Canada for more than 183 days in a calendar year, you may be considered a Canadian tax resident. In this case:

You’ll be taxed on your worldwide income, including any earnings from foreign employers or clients.

Dual tax residency may occur, depending on your home country’s tax treaties with Canada. It’s essential to address this to avoid double taxation.

Canadian-Sourced Income: Regardless of your residency status, any income earned from Canadian sources—such as local clients or investments—will be subject to Canadian taxes.

Pro Tip: Always consult a tax professional who specializes in international and Canadian tax laws. They can help you navigate tax treaties, avoid double taxation, and ensure compliance with all regulations.

Other Visa Options for Digital Nomads in Canada

Maybe you’re not entirely convinced that the CDNV is right for you. Here are some of the other options available if you’d like to make Canada your new home.

• Startup Visa: Canada’s Startup Visa lets entrepreneurs apply for a permanent residence permit so that they can start their business in Canada.
• Express Entry: This visa for Canada acts as a fast track to permanent residency for skilled workers who are fluent in English or French. It uses a points-based system to determine eligibility.

• Global Skills Strategy: The Global Skills Strategy fast-tracks temporary residency for individuals and their families when they receive a job offer from a Canadian employer.

Canada also runs several other initiatives, such as the Provincial Nominee Program (PNP), Quebec Immigration Skilled Worker Program (QSWP), and Atlantic Immigration Program (AIP), each of which allows employers and territories to nominate, attract, and retain talented workers.  

Living in Canada as a Digital Nomad

Ready to take the leap? Here’s everything else you need to know about living and working in Canada.

1. Cost of Living

The cost of living varies depending on where you take residence. The average monthly rent for a one-bed apartment currently sits at around CAD $1866, with Vancouver and Toronto being among the most expensive cities.

Many Canadian digital nomads choose to save money by opting for hostels, with prices ranging anywhere from CAD $30-$100 a night.

For groceries, budget for around CAD $250-$450 per month. For eating out, a main meal at a restaurant will usually set you back anywhere from CAD $15-$50.

These prices are all estimates. The best advice is to research your town or city before you arrive. Canada is diverse, and prices vary from region to region. The more you plan, the better prepared you’ll be for your stay.

2. Popular Cities for Digital Nomads

Canada is renowned for its vibrant cities. Some top picks for digital nomads include:

• Toronto: Toronto is Canada’s largest city, and it is filled with vibrant culture and nightlife.
• Vancouver: Perfect for outdoor activities and is a naturally beautiful region.
• Montreal: Significantly cheaper than many other cities.
• Calgary: Close to the Canadian Rockies with a lower cost of living.
• Halifax: A more relaxed, laid-back city with scenic views.

3. Healthcare

Canada has outstanding healthcare, but it’s only accessible to permanent residents. As a digital nomad, you’ll need to purchase private healthcare insurance to cover emergencies. You’ll typically need to provide proof that you’ve purchased this healthcare before you travel.

Fun Facts About Canada

• World’s Longest Coastline: Canada boasts the longest coastline of any country in the world, stretching over 202,080 kilometres.
• Second-Largest Country: Covering 9.98 million square kilometres, Canada is the second-largest country globally, after Russia.
• Multilingual Culture: While English and French are the official languages, over 200 languages are spoken across the country, reflecting its diverse population.
• Home of the Maple Leaf: Canada is the largest producer of maple syrup, contributing over 71% of the world’s supply, mostly from Quebec.
• Natural Wonders: Canada has more lakes than the rest of the world combined, including the famous Great Lakes shared with the U.S.
• Northern Lights: The Aurora Borealis is visible in many parts of Canada, particularly in Yukon, Northwest Territories, and Nunavut.
• Kindest People: Canadians are renowned for their politeness, often stereotyped for their frequent use of "sorry."

Summing up

As a location-independent professional, there’s a lot to get excited about when planning your immigration to Canada. The opportunity to explore the country’s natural beauty and potentially secure Canadian citizenship in the future is an exciting prospect. Just make sure you follow this guide to ensure your application process goes smoothly.

Ready to progress your career in Canada? It’s an exciting time, but there’s a lot to consider, including where you’re going to live during your stay.

Rentsync is revolutionizing rental management, helping leasing teams and property managers provide better tenant experiences through a comprehensive suite of tools. We’re committed to making your stay in Canada feel like home.

Want some more advice about your upcoming stay in Canada? Don’t hesitate to reach out for help. We’ll help pair you with the best leasing agents Canada has to offer.

FAQs

How can I Find Accommodation in Canada as a Digital Nomad?

RentBoard is Canada’s original rental marketplace, helping people easily find their long-term stays for over 30 years.

Can I Bring My Family to Canada on a Digital Nomad Visa?

Yes, though your family members will need their visitor visas or eTAs to enter Canada, depending on their nationality. You may also need to prove that you can financially support your dependents during your stay.

Can I Work for a Canadian Company Using a CDNV?

No, you’ll need to be a foreign national working for a foreign employer. However, you can look for jobs with Canadian employers, and if you’re accepted, you can then apply for a traditional work permit.

What are the Visa Options After My Initial Six Months?

If you’d like to extend your stay in Canada, you can apply for a Visitor Record. Alternatively, you can apply for a work permit if a Canadian business is looking to employ you.

How Long Can I Stay in Canada with a CDNV?

Canada’s immigration policy allows you to stay for a maximum period of six months on your digital nomad visa.

Do I Need to Take a Language Test for CDNVs?

No, there are no language tests. However, if you later apply for permanent residency through Canadian immigration programs like Express Entry or Canadian Experience Class. In that case, a mandatory language proficiency test is required, with a minimum IELTS score of 6 in each section.

What Happens if My Status in Canada Changes While on a Digital Nomad Visa?

If your circumstances change, you need to apply for the appropriate visa as soon as possible. For instance, if you receive a job, you should apply for a work permit.